Tell me again why banks won't lend on land?

After extensive research into this question, I have some significant findings:

Some banks will lend on land deals (usually it means that the borrower is A+ credit).

Most banks had a rash of land defaults in the "Great Depression" of 1929-1938.

Ever since then, the Bankers Manual of Lending has been handed down from bank president to bank president over the ensuing years...

Chapter 2 in the Bankers Manual of Lending is entitled: "Make a bad land loan and you are toast!"

Chapter 13: "Learn from the past - Don't lend on land"

Chapter 21: "Would you rather have a loan on income producing property, or on 30 acres of bare dirt? (that isn't bringing in a penny of income)"

As you can see, this secret banking manual is the reason why it is so hard to get a loan on land.

If you need research on other "hot" lending topics, just let me know. I will have my crack research team get right on it.

If you want to skip the research and just deal with a no-nonsense
hard money lender that specializes in land loans
then feel free to check it out.

Chapter 32: "Grooming habits of a banking professional" - The part about nose hair had me howling..

Hard Money for Land - Why don't I just go to the local bank?

Let's start with a few definitions:

Land: Any type of land. A lot, acreage, a subdivision, farm ground, land is anything that doesn't have a building or structure on it.

Land is NOT to be confused with a house, a commercial building, a business property etc.

OK - that was pretty easy. Let's continue...

If you are trying to get a loan for the purchase or refinance of land, then the first thing you need to do is to call your local bank and simply ask them if they CAN make a land loan. Many banks cannot or will not make a loan against plain land. Why? I do not know.

If you can find a local bank willing and able to make a loan against your land, then my recommendation is to take it. My money will probably be more expensive to you than the banks money.

The bad news is that IF you can find a bank able to make a land loan, they will take forever to actually close the loan.

The reason Hard Money Land lenders exist is because of the void in bank lenders for land...

Overheard at the lending department of a local bank...

After hearing the borrowers request for a land
loan, the local banker said, "I'll carefully review
your land loan proposal and get back to you with
a "no" as soon as possible."

Looking for a land loan? Need a prescription to prevent hurling? Try Hard Money Lending...

Hard money lending is for people or properties that do not meet, or do not want to meet the lending guidelines of the local banks.

Some banks will vomit if you ask them to make a land loan...

Some borrowers will vomit when asked to provide ALL the red tape documentation that most banks ask for...

Hard Money lending: Helps prevent the spread of vomit :-)

(For immediate relief from potential loan sickness check out this hard money lender)